Aug292012

Five things every retailer should know about Video

Mike Molinari
Mike Molinari
KSC Kreate
Director of New Business Development

written by MO.com Subject Matter Resource Mike Molinari

During the last few years, two major technological advances have paved the way for online video: bandwidth and mobile devices. Prior to these catalysts, video was a medium limited to your desktop computer or the disk you picked up at your local Blockbuster.

Third and fourth generation networks have opened the communications pipeline making large video files as immediate as email. In fact, it’s become so ubiquitous that YouTube has 4 billion views per day. Combined with the birth and subsequent explosion of mobile devices, video is entering its’ golden age.

While this democratization of video now makes it possible for all of us to channel our inner Martin Scorsese, perhaps group that will benefit most are online retailers. Until recently, shopping online was somewhat of a gamble; especially when it came to shoe, apparel and things that require proper fit. But now, video files and rich media product presentations provide mobile shoppers with all of the needed detail to “add to cart.”

1. Increased Traffic through SEO

Any given video in an index of searchable keywords has a 50x better chance of appearing on the first page of results than an equivalent text page. (Forrester Research, 2009)

Simply explained by ReelSEO: Keywords – search terms that are used to find web pages, videos, images etc. related to those keywords– are the building blocks of SEO and video search engine optimization is just the process of letting the search engines know exactly what the focus of your video is so they can return it in the search results based on the user’s query.

2. Increased Session Times and Analytics

Because video is a dynamic medium, it holds the attention of the viewer, longer. At KSC Kreate, we typically see our clients experience a 3x-4x increase in the duration of video viewership. This information and more can be confirmed using available online analytics tools like Google analytics. If you choose to engage with a video deployment partner, they will also have powerful tools with which to understand the online activity and help clarify the ROI.

3. Deeper and richer engagement with customers

Beyond session times, one of the most exciting aspects of video is the experience between the retailer and the shopper is so much richer. The best retailers use video to educate and inform the shopper with all of the details, features and functionality of a given product to keep their interest. Some best practices include formalized product presentations with knowledgeable hosts or recognizable category experts, dynamic 360º imagery where you can see a product from all angles and enlarge any view and even galleries of still images to compliment the moving image.

4. Increased Sales Conversion

According to Internet retailer, 52% of consumers say watching product videos makes them more confident in their online purchase decisions. When a video is information-intensive, 66% of consumers will watch the video two or more times.

With the advent of new HTML5 technologies that are non-Flash, mobile compliant, and automatically optimize to all major web browsers, retailers have more reach and frequency to customers than ever before.

For the mobile generation, it is typical to go into a brick and mortar store to shop for merchandise while using their smartphone or tablet to dial into the store’s website to see a product video, check for color options and online coupons if available. As a result, this serves as a benefit to the retailer providing that they have a competitive price and the item is in stock…either at the store or online.

5. Decreased Returns

Video is a driver of consumer confidence. Shoppers are willing to watch videos 60% of the time they are found and 52% of consumers report that they are less likely to return a product after viewing a video. (Website Magazine, 2012)

It’s no secret, that if you employ video on your website, it is more likely to be seen and will generate more traffic to itself; once viewed, it should hold the audience for a longer duration with a deeper level of engagement and build an emotional bond with them. Once this bond is created, they are more likely to buy— and since they were educated and presented with all of the needed information to buy, they are, in turn, less likely to return the merchandise that leads to higher margins.

So what are you waiting for— GO video!

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